Organizational Structure and Employees’ Performance: The Case of a Multipurpose Cooperative in Nueva Vizcaya

Abstract

In the Philippines’ social and economic structure, cooperatives play a significant role, particularly in rural areas, by facilitating market access and resource distribution and fostering communal growth. Despite being recognized by government policies as key contributors to financial inclusion, economic growth, and poverty eradication, the effectiveness of cooperatives concerning their organizational structures is often overlooked. This study aims to determine the correlation between Organizational Structure and Employees’ Performance: The Case of a Multipurpose Cooperative in Nueva Vizcaya. It employs a quantitative approach, combining descriptive and correlational designs. The survey questionnaire used in this study is adopted from three research sources. The results revealed that most of the cooperative’s workforce was comprised of young professional women, with an average age of 29.97. The respondents were predominantly from the Accounting Department, with a notable representation from lower/operational management. Moreover, a substantial portion of the respondents had tenure exceeding six months. The results indicated a positive perception of the subcategories within the organizational structure, significantly influencing employee performance. However, certain aspects of the organizational structure, such as hierarchical structure, formalization, and internal and external boundaries, showed no significant relationship with employee performance. These findings highlight the complex interplay between organizational structure and employee performance in a cooperative setting.